El Salvador has become the first country in the world to adopt bitcoin as an official currency, a historic move that was beset by teething problems, as angry protests, technological glitches and a plummet in value marked the first day of the digital experiment.
A network of cash dispensers will allow users to convert bitcoin into dollars free of commission, backed by a $150m government fund. Taxes may be paid in the cryptocurrency and merchants must accept it alongside the US dollar, the national currency since 2001. Millions of Salvadorans downloaded the government's new digital wallet app on Tuesday which gives away £22 in bitcoin to every citizen. The country depends heavily on money which citizens based abroad, often in the US, and the move to bitcoin is based on an expectation that more Salvadorans will begin sending money home using t...
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